01/13/2023
Homebuyers- A MUST READ!
The way to invest in real estate is to Buy and wait! Overtime you will always make money this way in real estate. True story, we bought our home in late 2016 and we thought prices were too high then, but absolutely loved the home (1800sqft single story, 3 car garage , pool , rv parking, completely remodeled - everything we dreamed of for our first home. Our 190k investment went to just about 500k within 6 years. The best preparation is knowing you can afford the payment without issue, because yes, Markets go up and down, just like stocks. If you plan on keeping it for 10yrs+ , you may more than likely come out way ahead. With every crash, the home prices have come back up much higher than its last peak prior to a crash. Its simply inflation on top of supply and demand, affected by things even such as population increase. Everyone needs a home! Many thought the crash was coming 2019-2020, yet home prices about doubled from 2020-2022.
Now we have seen prices come down quite a bit these last few months, at a quick pace too! But this is allowing people to get into home ownership without the bidding wars weve seen for years and paying 50k over appraisal to win the bid, which was just not feasible for first time homebuyers that worked so hard just to save a down payment.
Don't get me wrong, yes there will be a higher interest rate currently, but the bonus of that is if you're paying 2200 for the home now, when rates drop and you refinance( essentially nothing out of pocket) to a lesser rate , it could take you down hundreds of dollars a month,for the rest of the life of the loan, and then my friends... you are living good!
If you can afford a bit of a higher payment now, knowing that may not last very long, would you do it?
